SALEYARDS across the eastern states have continued to host unusually big yardings for this time of year, with the numbers now starting to put downward pressure on the already strong market.
Prices have been a mixed bag, with light restocker-type cattle (200-280kg) holding firm at Roma, along with medium weight (330-400kg) feeder steers. Heavy feeder steers (400kg+) and processor cows took a 20c and 10c drop respectively.
While restocker cattle at southern saleyards were considerably cheaper than Roma, fat cows heading to processors were higher in the south than the north.
Perhaps explaining this trend is demand from southern processors, with buyers from some Victorian meatworks reportedly travelling to northern sales again this week.
Saleyard reports from both Wagga and Gunnedah were this week covered in red ink, with the yards hosting 6989 and 4400 head respectively – medium weight and heavy steers were down 20-30c.
Yardings well above average
As of today, MLA’s national cattle yarding was sitting at 63,246 head, which is just shy of the weekly average of 66,244 head.
Beef Central this week’s Dubbo cattle sale, which will likely push the numbers well above the average for the fifth week in a row. The past three yardings at Dubbo have been above 10,000 head.
An above-average yarding was held on the same week last year, with 77,627 head penned. However, the yardings in the weeks prior to that sale were nowhere near as busy as they were this year.
The past four completed weeks have seen more than 375,000 cattle pass through NLRS-reported saleyards across Australia – the busiest four-week period in the past two years. The weekly average over that period at close to 94,000 head sits 30pc higher than the average over the past two years, of 66,244 head.
The week ended 30 November was in fact the busiest saleyards selling week seen in the past two years, accounting for 103,794 head.
What is driving the big yardings?
As Beef Central’s weekly kill column highlighted last week, slaughter cow prices have eclipsed 2022 prices when numbers were scarce.
Most other markets have also been strong, with heavy feeder steer prices still hovering around 500c/kg and the Eastern Young Cattle Indicator went comfortably above 900c/kg carcase weight for the first time since 2023 last month. It has been hovering around the high 800c mark since then.
Many different factors have been driving the strong market, with producers in Southern Victoria restocking after some decent rain this year and processors keen to keep the chains going with strong export demand among many reasons.
Dry conditions across large parts of Central Western and Southern New South Wales have largely been attributed to the big yardings at Dubbo.
Some parts of Western Qld are also starting to look dry, with only storms coming across the area in recent months and hot weather setting.
Below average rainfall and warmer temperatures across large parts of Qld and Northern NSW have also been forecast by the Bureau of Meteorology, which has evidently pushed some producers to market while prices are good.